XXXVII, No 3, 04/02/2019

New Turkish law allows obligors to void their offsets

Turkey has approved a law that can help suppliers dodge their offset obligations. The obligors need only prove that input costs have “unexpectedly increased.” Law 7161, effective since January 17th, maintains that all public procurement contracts, including offsets in both the civil and defence sectors…can be terminated if the manufacturing cost of the contract has unexpectedly increased. To terminate the contracts the contractors must…